Scheduled loan payments of $1285 due in 6 months and $337 due in 24 months are rescheduled as a payment of $993 due in 33 months and a second payment due in 45 months. Determine the size of the second payment if interest is 3% compounded annually and the focal date is 45 months from now. The size of the second payment is (Round the final answer to the nearest cent as needed. Round at intermediate values to six decimal places as needed.)

Scheduled loan payments of $1285 due in 6 months and $337 due in 24 months are rescheduled as a payment of $993 due in 33 months and a second payment due in 45 months. Determine the size of the second payment if interest is 3% compounded annually and the focal date is 45 months from now. The size of the second payment is (Round the final answer to the nearest cent as needed. Round at intermediate values to six decimal places as needed.)

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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A loan of $2766 borrowed today is to be repaid in three equal installments due in two years, three years, and six years, respectively. What is the size of the equal installments if money is worth 7.7% compounded annually? The payments are each $ ☐ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
A loan of $1420 taken out on June 7 requires three payments. The first payment is due on July 7. The second payment is twice as large as the first payment and is due on August 19. The final payment, due on November 2, is three times as large as the first payment. If the focal date is June 7, what is the size of each of the three payments at an interest rate of 4.9%? The first payment is $ the second payment is $, and the third payment is $ (Round the final answers to the nearest cent as needed. Round all intermediate values to sx decimal places as needed)
Payments of $1,800 in 1 year and another $2,700 in 6 years to settle a loan are to be rescheduled with a payment of $1,000 in 18 months and the balance in 36 months. Calculate the payment required in 36 months for the rescheduled option to settle the loan if money earns 3.85% compounded semi-annually during the above periods. Round to the nearest cent
Payments of $1,400 in 1 year and another $2,800 in 4 years to settle a loan are to be rescheduled with a payment of $1,000 in 17 months and the balance in 34 months. Calculate the payment required in 34 months for the rescheduled option to settle the loan if money earns 5.3% compounded monthly during the above periods. Please provide detailed solution.
The interest rate on a $15,300 loan is 9.7% compounded semiannually. Semiannual payments will pay off the loan in nine years. (Do not round intermediate calculations. Round the PMT and final answers to 2 decimal places.) a. Calculate the interest component of Payment 12. $ b. Calculate the principal component of Payment 5. Principal c. Calculate the interest paid in Year 8. Interest paid d. How much do Payments 5 to 8 inclusive reduce the principal balance? Principal reduction Interest
Devsi
Scheduled payments of $890 due today, $525 due in 15 months, and $555 due in 33 months are to be replaced by a single equivalent amount paid at the focal date of 6 months from today. Money earns 11.1% compounded quarterly. Using P/Y=C/Y=4 and PMT=0, determine the economically equivalent value for each amount at the focal date and enter the values in the blanks. In your rough work, it may be helpful to draw a timeline with the appropriate focal date for the unknown amount. Round dollar values to 2 decimal places. Moving $890 due today to the focal date: A PV = N= A FV= Moving $525 due in 15 months to the focal date: N = A/ PV = Moving $555 due in 33 months to the focal date: N = A/ PV = The single amount at the focal date is = A FV= A FV = A/ A A/
you borrow $5,000 at 15% for 12 months. you and your creditor agree, that you will make TWO equal payments, one at 3 months and one at 7 months. using a focal point places at 12 months. what is the amount of the payment? make sure you rond all intermediate calculations to 5 decimal places, round final answer to the nearest penny
Scheduled payments of $434 due two years ago and S1096 due in five years are to be replaced by two equal payments. The first replacement payment is due in three years and the second payment is due in seven years. Determine the size of the two replacement payments if interest is 1.9% compounded quarterly and the focal date is three years from now. The size of the two replacement payments is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed.)
Loan payments of $2,400 due 97 days ago and $4,450 due today are scheduled to be repaid with a payment of $3,940 in 33 days and the balance in 130 days. If money earns 6% p.a. simple interest, what is the size of the final payment? Use 130 days from today as the focal date.
A leasing contract calls for an immediate payment of $108,000 and nine subsequent $108,000 semiannual payments at six-month intervals. What is the PV of these payments if the annual discount rate is 12%? (Hint: First find the semiannual rate that is equivalent to the annual rate.) Note: Do not round intermediate calculations. Round your answer to 2 decimal places.
Krista borrowed $17,432. The loan is to be repaid by three equal payments due in 80, 154, and 263 days from now respectively Determine the size of the equal payments at an interest rate of 7% with a focal date of today The size of the equal payments is $ (Round the final answer to the nearest cent as needed. Round all intermediate values to six decimal places as needed)

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